Restructuring of Ownership – Savies Aadvisors

About This Case

A father and two brothers had a disagreement over the division of company assets. The father and one brother, who lived overseas, wanted to sell their shares and leave the business. However, the company lacked the liquidity to pay them off. After several discussions and valuations, we collaborated with the brother intending to take over the business. We facilitated the sale of various movable and immovable assets to allow him to gain control of the company. Additionally, we worked with merchant bankers to divest certain shareholdings of the business in order to raise capital to pay off the father and the brother living abroad.

Law Family Law

Time Frame6 months

AdvisorNipun Sharma

Challenge

Gaining family consensus on the fairness of the valuation and settlement techniques.
Finding a solution as the father and brother wanted an all-cash deal instead of staying invested for 5 years.
Convincing merchant bankers to fund a business to resolve a family dispute.

Our Process

1. Assessing Client Requirements and Formulating a Strategy

We began the assignment by discussing with stakeholders to understand their needs and adapting to changes throughout the process.

2. Valuation of business, movable and immovable assets

We issued detailed valuation reports based on a combination of various methods and discussed them with representatives of all the parties involved, explaining the techniques used to determine the values.

3. Settlement

We engaged with the merchant bankers when negotiations stalled and successfully revived the settlement process, securing the maximum value for our client in the shortest possible timeframe.